Los Angeles, CA, March 17, 2016 --(PR.com
)-- The overwhelming number of consumers looking into long term care insurance voice similar concerns about the product reports the American Association for Long-Term Care Insurance.
"We deal with roughly 10,000 consumer inquiries each year and the vast majority of prospective buyers we connect with have the same concerns and the same misconceptions," shares Jesse Slome, executive director of the American Association for Long-Term Care Insurance (AALTCI).
According to AALTCI, the two most common concerns are current price and the fear of continuous future rate increases. "It's understandable why consumers today believe long-term care insurance is expensive," Slome admits. "First of all, many media stories report costs for benefit-rich policies costing thousands of dollars a year which is more than the typical buyer is willing to spend."
Slome points out that nearly two-thirds (64%) of the consumers participating in an Association mini-survey were highly concerned that their cost of coverage would continually increase. "Consumers read about 80 percent rate increases and many have the perception that this will happen year after year once they buy the coverage," Slome notes. "There is nothing available to explain to consumers what really happens and it's understandable why consumers wouldn't believe an insurance agent's verbal explanation. Consumers understand that the agent is trying to sell them something."
The Association director noted that findings are not new or unexpected. "This has been consistent for recent years, though the trend is growing and part of the reason for the diminished sales of traditional long term care insurance products and the increased sale of linked-benefit life insurance and annuity products that offer a long term care benefit," Slome adds.
"Consumer perceptions are important and can't be overlooked," Slome concludes. "When competing for limited discretionary dollars perception becomes reality and failing to recognize and address misperceptions can be a long-term costly mistake."
Slome is founder and director of the American Association for Long Term Care Insurance (AALTCI) and the National Advisory Center for Short Term Care Information. Both organizations promote sound and affordable planning for Americans. To obtain long term care insurance cost comparisons or information call (818) 597-3227 or visit the organization's websites at www.aaltci.org for AALTCI. To learn more about short term care insurance, visit www.aaltci.org/short-term-care-insurance/.